TechFlow News: California Governor Gavin Newsom has approved a cryptocurrency bill called the "Digital Financial Assets Law," which will take effect 18 months after approval (scheduled to become effective on July 1, 2025). Under this law, individuals and businesses must obtain licenses from the Department of Financial Protection and Innovation (DFPI) to engage in digital asset business activities.
The bill mandates audit and recordkeeping requirements and establishes enforcement measures against companies that fail to comply with its provisions.
Last year, Newsom rejected a similar bill, calling it insufficiently flexible to keep pace with the rapidly evolving crypto industry. Meanwhile, the United States is also considering applying the Electronic Fund Transfer Act (EFTA) to the cryptocurrency space to address fraudulent transfers. Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra stated this would help reduce harms caused by errors, hacking, and unauthorized transfers.
